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HomeMy WebLinkAbout05 TUSTIN HOUSING AUTHORITY ANNUAL MEETING AND ANNUAL REPORTAgenda Item _______ Reviewed: City Manager _______ Finance Director _______ MEETING DATE: SEPTEMBER 19, 2023 TO: MATTHEW S. WEST, CITY MANAGER & HOUSING AUTHORITY EXECUTIVE DIRECTOR FROM: TUSTIN HOUSING AUTHORITY SUBJECT: TUSTIN HOUSING AUTHORITY ANNUAL MEETING AND ANNUAL REPORT SUMMARY Pursuant to the Tustin Housing Authority Bylaws and State of California Housing Authorities Law of the California Health and Safety Code Section 34328, the Tustin Housing Authority (“Housing Authority”) is holding an annual meeting in order to receive and file the annual report of its activities for the preceding fiscal year. RECOMMENDATION The Tustin Housing Authority Commissioners take the following actions: Receive and file the Annual Report for Fiscal Year (“FY”) 2022-2023 and transmit such report to the Tustin City Council. The City Council take the following actions: Receive and file the Housing Authority’s Annual Report for FY 2022-2023. Direct that a copy of the Housing Authority’s Annual Report for FY 2022-2023 be filed with the City Clerk and ex-officio Clerk of the City Council of the City of Tustin and the California State Department of Housing and Community Development. FISCAL IMPACT Pursuant to Section 34328.1, the Department of Housing and Community Development could request the Housing Authority reimburse the department for the cost of processing the report. The Housing Authority is requesting relie f from this requirement and has been granted relief in prior year filings. AGENDA REPORT DocuSign Envelope ID: DB9A8C97-1226-4D34-B04A-0FAF56F1D092 5 N/A DocuSign Envelope ID: 9D49EAC2-FC45-48BC-B237-794566F2E640 Agenda Report September 19, 2023 Page 2 CORRELATION TO THE STRATEGIC PLAN The Housing Authority Annual Report documents how the provision of and management of Tustin’s affordable housing contributes to Goal A of the City’s Strategic Plan, enhancing the vibrancy and quality of life in all neighborhoods and areas of the community. BACKGROUND/DISCUSSION The California Housing Authorities Law of the California Health and Safety Code Section 34328 (“HSC”) requires the Housing Authority submit to the legislative body and the California State Department of Housing and Community Development (“HCD”) an annual report for its activities for the preceding fiscal year. On March 15, 2011, the City Council approved Resolution No. 11-20 establishing the Tustin Housing Authority (“Housing Authority”) in accordance with the California Housing Authorities Law (“CHAL”). On April 19, 2011, the Housing Authority Commissioners (“Commissioners”) adopted Resolution HA No. 11-01 approving the By- Laws for the Housing Authority. On January 17, 2012, the Commissioners adopted Resolution HA No. 12-01, approving the Housing Authority’s assumption of housing assets and functions previously performed by the former Tustin Community Redevelopment Agency (“Agency”). The assumption of assets and functions became effective February 1, 2012. In accordance with Section 34328 of CHAL, the Housing A uthority shall annually file on the first day of October with the City Clerk and HCD a complete report of its activities for the preceding fiscal year. The report shall contain information adequate for the City and HCD to determine the requirements of Section 34312.3 have been met for any activity undertaken pursuant to that section and those requirements are identified in the Annual Report. The report shall also make either directly or through any national, regional, or state housing association or organization of which it may be a member, recommendations with reference to additional legislation or other action which it deems necessary to carry out the purposes of CHAL. As a result of assuming the Agency’s assets and functions, the report is broken out into two sections. Section One provides data as required under Section 34328.1 and outlines compliance with Section 34312.3. Section Two lists the activities associated with the assumption of the Agency’s housing assets and functions. The Annual Report (included as Attachment 1), Section One does not identify any activities as it relates to the Housing Authority financing and/or purchasing rental housing projects. In addition, the Housing Authority does not own any rental housing projects and, as a result, does not have anything to report on tenant data. Section Two highlights Housing Authority activities, which include: 1) Affordable Ownership Housing; 2) Affordable Rental Housing; 3) Homeless Services; and 4) Policy Activities. DocuSign Envelope ID: DB9A8C97-1226-4D34-B04A-0FAF56F1D092DocuSign Envelope ID: 9D49EAC2-FC45-48BC-B237-794566F2E640 Agenda Report September 19, 2023 Page 3 Upon approval of the recommended actions, the Housing Authority’s FY 2022-2023 Annual Report will be submitted to the California Department of Housing and Community Development prior to October 1, 2023. __________________________ Christopher Koster Director of Economic Development Tustin Housing Authority __________________________ Janine Hernandez Senior Management Assistant Tustin Housing Authority __________________________ Jerry Craig Deputy Director of Economic Development Tustin Housing Authority Attachment: 1. Tustin Housing Authority FY 2022-2023 Annual Report DocuSign Envelope ID: DB9A8C97-1226-4D34-B04A-0FAF56F1D092DocuSign Envelope ID: 9D49EAC2-FC45-48BC-B237-794566F2E640           TUSTIN HOUSING AUTHORITY ANNUAL REPORT FY 2022 – 2023        DocuSign Envelope ID: 9D49EAC2-FC45-48BC-B237-794566F2E640 TUSTIN HOUSING AUTHORITY FY 2022 – 2023 ESTABLISHED The Tustin Housing Authority (“Housing Authority”) was established on March 15, 2011 and the By-Laws were adopted on April 19, 2011. On January 17, 2012, pursuant to California Health and Safety Code Section 34176, the Housing Authority assumed all housing assets and functions previously performed by the former Tustin Community Redevelopment Agency (“Agency”). The assumption of assets and functions became effective February 1, 2012. ANNUAL REPORT In accordance with Section 34328 of California Housing Authorities Law (“CHAL”), the Housing Authority is filing on the first day of October with the City Clerk and with the Department of Housing and Community Development (“HCD”) a complete report of its activities for the preceding year. The report is broken out into two sections: 1) compliance information adequate for the City of Tustin (“City”) and HCD to determine the requirements of Section 34312.3 have been met for any activity undertaken pursuant to that section; and 2) a breakdown of activities associated with the assumption of housing assets and functions from the former Agency. SECTION ONE shall also make either directly or through any national, regional, or state housing association or organization of which it may be a member, recommendations with reference to additional legislation or other action which it deems necessary to carry out the purposes of CHAL. SECTION ONE – COMPLIANCE WITH CHAL Pursuant to Section 34328.1 of CHAL, the annual report contains the following: 1. Recommendations for needed legislation to carry on properly a program of housing and community development in this state. a. The Housing Authority does not have any recommendations for needed legislation at this time. 2. Data on terminations of tenancies of victims of domestic violence in housing authority units, and terminations of Section 8 vouchers of victims of domestic violence. a. The Housing Authority does not currently own or operate housing authority units or issue Section 8 vouchers. As a result, the authority does not have any data to report. DocuSign Envelope ID: 9D49EAC2-FC45-48BC-B237-794566F2E640 3. Pursuant to Section 34328, the annual report contains information adequate for the City and HCD to determine that the requirements of Section 34312.3 have been met for any activity undertaken pursuant to that section. a. The Housing Authority did not issue revenue bonds, make or undertake commitments, or purchase or undertake commitments associated with multifamily rental housing. 4. Any activities where the authority developed, rehabilitated, or financed housing projects or participated in the development, rehabilitation, or financing of housing projects, or purchased, sold, leased, owned, operated, or managed housing projects so assisted, are subject to all of the requirements of Section 34312.3. a. The Housing Authority does not have any activity to report. 5. A reporting breakdown of occupancy by income levels and rents for housing projects assisted by the authority that demonstrate compliance. a. The Housing Authority does not have any activity to report. 6. Any indebtedness incurred pursuant to a mortgage loan finance under the terms of Section 34312.3 that is subject to acceleration and the balance owing declared immediately due and payable upon any sale of an owner-occupied residence to a purchaser who does not meet the required qualifications for borrowers as established by the authority. a. The Housing Authority does not have any activity to report. 7. Certification that the authority shall require the owners of housing projects assisted pursuant to Section 34312.3 to accept as tenants, on the same basis as all other prospective tenants, in the units reserved for very low income households, any very low income households who are recipients of federal certificates for rent subsidies pursuant to the existing program under Section 8 of the United States Housing Act of 1937 (42 U.S.C. Sec. 1437f), or its successor. The authority shall not permit selection criteria to be applied to Section 8 certificate holders that is any more burdensome than the criteria applied to all other prospective tenants. a. The Housing Authority does not have any activity to report. 8. A determination that no resident in housing units assisted pursuant to Section 34312.3 was denied continued occupancy or ownership because, after admission, the resident’s family income increased to exceed the eligibility level. However, the authority shall ensure that percentage requirements of this section shall continue to be met by providing the next available unit or units to persons of low income or by taking other actions to satisfy the percentage requirements of this section. a. The Housing Authority does not have any activity to report. 9. A determination in whether the percentage requirements of subdivision (c) of Section 34312.3 have been achieved. DocuSign Envelope ID: 9D49EAC2-FC45-48BC-B237-794566F2E640 a. The Housing Authority does not have any activity to report. 10. Units required to be reserved for occupancy by subdivision (c) and financed with the proceeds of bonds issued on or after January 1, 1986, shall remain occupied by, or made available to, those persons until the bonds are retired. a. The Housing Authority does not have any activity to report. 11. Determination that multifamily rental housing financed pursuant to Section 34312.3 is not subject to the requirements of subparagraph (B) of paragraph (1) and paragraph (2) of subdivision (C), and the requirements of subdivision (D), as a result of fulfilling all requirements. a. The Housing Authority does not have any activity to report. 12. It is the intent of the Legislature, and the Legislature declares, that housing authorities are the local entities with primary responsibility for providing housing for low income and very low income households within their jurisdictions. However, recognizing that housing projects only for low income households cannot be adequately assisted or developed with currently available funds, and that excess funds from housing projects assisted pursuant to this section can be utilized to further assist in the provision of housing for lower income households, it is the intent of the Legislature that the authorization of this section is to be used to enhance and supplement the traditional housing authority role of providing housing only for low income households. a. On February 1, 2012, the Housing Authority assumed all housing assets and functions previously performed by the former Agency. SECTION TWO details the expanded role the Housing Authority has assumed. 13. The authority shall provide HCD funds as requested by the department to reimburse the department for the cost of processing the report required by this section. a. The Housing Authority has not participated in the construction or acquisition of housing projects as defined by CHAL and the lack of activity is reported in Section One accordingly. As a result, the Housing Authority is requesting relief from HCD’s requirement that the authority reimburse the department. SECTION TWO – ASSUMPTION OF AGENCY ASSETS & FUNCTIONS Affordable Ownership Housing Effective February 1, 2012, the Housing Authority assumed the housing assets and functions of the former Agency. The assumption included three hundred five (305) covenant-restricted affordable housing ownership units, two (2) covenant-restricted senior affordable housing rental projects and two (2) loan-restricted affordable housing rental four-plexes. DocuSign Envelope ID: 9D49EAC2-FC45-48BC-B237-794566F2E640 In FY 2012-2013, the homeowner of one (1) covenant-restricted ownership unit paid off their first-time homebuyer loan, thus removing the affordability restrictions. In FY 2015- 2016, sixteen (16) affordable housing covenants expired in the Tustin Grove development. On June 7, 2016, the Housing Authority Commission authorized the sale of two (2) Housing Authority-owned affordable homes at market rate. One (1) of the units was acquired in order to cure an affordable moderate income homeowner’s default and the second was acquired during a Trustee’s Sale. The two (2) units were listed for sale in FY 2015-2016, both units sold, at market rate in FY 2016-2017. In FY 2016-2017, five (5) affordable housing covenants expired in the Ambrose Lane development. During FY 2017-2018, two (2) Housing Authority-owned affordable homes were acquired in a Trustee’s Sale, one (1) sold in FY 2017-2018 and the other sold in FY 2018-2019, as authorized by the Housing Authority Commission, at market rate. As of the reporting date, the Housing Authority is managing 279 covenant-restricted affordable housing units. The Housing Authority’s primary function is to increase, improve, and preserve the community’s supply of low- and moderate-income ownership housing available at an affordable housing cost and is detailed in the following section: 1. ReSales – The Housing Authority assisted three (3) existing homeowners in selling their affordable housing units to income-eligible homeowners. Assistance included: a. Provided existing homeowners with the maximum affordable sales price. The Housing Authority prepared maximum affordable sales price quotes for six (6) homeowners who were considering selling their home; and b. Reviewed required application documents to determine income-eligibility of prospective homebuyers; and c. Reviewed title reports, appraisals, and purchase documentation in order to calculate the “silent second” the City would record against the property; and d. Prepared affordable housing documents for signature by both parties; and e. Followed up with the escrow company to insure all affordable housing documents were recorded against the property as prepared. In addition to affordable ownership sales activity, the Housing Authority assumed the functions of administering the Residential Rehabilitation Program and facilitating new affordable ownership purchases. As a result of the passage of AB1X 26, the Residential Rehabilitation Program has been suspended. All housing developments, which included affordable housing ownership units, have been completed and the affordable housing units were sold prior to FY 2022-2023. The following table summarizes activity by income category for New Purchase, Resale and Rehab activity: DocuSign Envelope ID: 9D49EAC2-FC45-48BC-B237-794566F2E640 OWNERSHIP Income Level New Purchases Resales Rehab TOTAL Very Low Income 0 0 0 0 Low Income 0 1 0 1 Moderate Income 0 2 0 2 TOTAL 0 3 0 3 2. Refinances – With interest rates at an all-time high in FY 2022-2023, the Housing Authority did not have any affordable homeowners refinance their existing mortgages. 3. Monitoring – The Housing Authority is responsible for monitoring the affordability restrictions recorded against the 279 affordable ownership units located within five (5) housing developments. As a result of each development’s different monitoring criteria, the Housing Authority mailed out two hundred fifty-nine (259) “Annual Owner Certification” forms prior to the end of FY 2022-2023. Homeowners must initial and sign the forms and submit requested supporting documentation. 4. Habitat for Humanity – On July 5, 2016, the City and the Housing Authority entered into a Disposition and Development Agreement (DDA) with Habitat for Humanity of Orange County (“Habitat”). In FY 2017-2018, the City conveyed a City-owned, R3- zoned lot to Habitat for the purpose of building two (2) affordable units to be sold to income-eligible Veterans. Construction of the two homes began in FY 2017-2018. In FY 2018-2019, construction was completed and two Veteran families moved in to their new homes in December 2018. 5. Transitional Units – Of the 279 units, the Housing Authority assumed eighteen (18) transitional housing units with three (3) non-profit agencies: Human Options, Inc.; Salvation Army; and OC Gateway to Housing (“OC Gateway”), managing six (6) units each. On July 1, 2021, OC Gateway merged with Families Forward and, on August 17, 2021, the City Council approved Families Forward conversion of the units from transitional housing to permanent affordable rental housing for very low income families who are homeless or at risk of homelessness. The activity summary for those 6 units is included in the Affordable Rental Housing section below. As part of the Housing Authority’s annual monitoring, the Housing Authority requests an annual report from each of the agencies. The following is a combined summary, for the twelve (12) remaining transitional housing units, of the activity that occurred in FY 2022 - 2023: DocuSign Envelope ID: 9D49EAC2-FC45-48BC-B237-794566F2E640 TRANSITIONAL HOUSING Total # Adults 18 – 62 Adults 62+ Children 0 - 18 Disabled Men Women Men Women Preschool School Families served in FY 2022/2023 19 2 17 0 0 10 14 0 Families currently being served as of June 30, 2023. 8 2 6 0 0 2 4 0 PERMANENT HOUSING Total # Ownership Rental Subsidized Unsubsidized Subsidized Unsubsidized Families moved into permanent housing 7 0 0 6 1 Families moved in with other family 2  Families moved for other reasons 2  EMPLOYMENT Total # Total # Total # Employed before entering the program 12 Obtained Employment during the program 2 Lost job while in the program and currently unemployed 0 Lost job while in the program but found a new one 1 Unemployed throughout the program 5 Received a promotion while in the program 2 Received a raise while in the program 3 Average % Income increase while in the program 14% Received a pay reduction while in the program 0 EDUCATION Total # Total # Total # Attending College before entering the program 2 Enrolled in College during the program 5 Received a college degree or certificate 0 Enrolled in a trade school or other specialized training during the program 2 Adults completed GED or obtaining HS Diploma during the program 0 Children completed GED or obtaining HS Diploma during the program 3 Enrolled into a GED program during the program 0 Preschoolers enrolled in an Early Start or Head Start program 7 Preschoolers in child care 8 COUNSELING Total # Total # Total # Families receiving counseling/life skills training during the program 9 Adults receiving counseling/life skills during the program 13 Children receiving counseling during the program 5 Total Hours 317 Total Hours 473 Total Hours 42 DocuSign Envelope ID: 9D49EAC2-FC45-48BC-B237-794566F2E640 Affordable Rental Housing The Housing Authority assumed the functions of monitoring the two (2) covenant- restricted senior affordable housing rental projects (Heritage Place and Coventry Court) and two (2) loan-restricted affordable housing four-plexes. Since 2012, the Housing Authority has negotiated the development of additional affordable rental housing. The Housing Authority’s primary function is to increase, improve, and preserve the community’s supply of low- and moderate-income rental housing and is detailed in the following section: 1. Heritage Place and Coventry Court – The Housing Authority assumed the functions of monitoring the two (2) covenant-restricted senior affordable housing rental projects (Heritage Place and Coventry Court) and two (2) loan-restricted affordable housing four-plexes. There are fifty-three (53) affordable units (33 – very low; and 20 – low) and one (1) manager’s unit at Heritage Place. As of June 30, 2023, all 33 very low and 18 low income units were leased. Note: Due to the more restrictive Tax Credit regulatory agreement, Heritage Place, has more very low income units than are required by the City agreement. At Coventry Court, one hundred fifty-three (153) of the two hundred forty (240) units are affordable (36 – very low; 61 – low; and 56 – moderate). As of June 30, 2023, all 36 very low, 61 low, and 56 moderate affordable units were leased. 2. Residential Rental Rehabilitation – The Housing Authority assumed the functions of monitoring two (2) loan-restricted affordable housing four-plexes that benefitted from the Residential Rehabilitation Program for multi-family housing. Each four-plex is required to provide three (3) moderate income units for a total of six (6) moderate income units. On June 14, 2023, one four-plex was sold, and as a result of the sale, the rehabilitation loan was paid off, terminating the affordable restrictions. As of June 30, 2023, 3 units were leased. As a result of the passage of AB1X 26, the Residential Rental Rehabilitation Program funded with Redevelopment funds was suspended. 3. Amalfi and Anton Legacy – During FY 2014 – 2015, two covenant-restricted affordable housing rental projects in Tustin Legacy (Amalfi and Anton Legacy) began leasing and the Housing Authority became responsible for monitoring both projects. At Amalfi, thirty-seven (37) of the five hundred thirty-three (533) units are moderate-income, affordable units. As of June 30, 2023, 36 units were leased. There are two hundred twenty-five (225) affordable units (88 - very low; 73 – low; and 64 – moderate) at Anton Legacy. As of June 30, 2023, 82 very low, 67 low, and 56 moderate income units were leased. 4. Families Forward – During FY 2021 – 2022, the Housing Authority assumed the functions of monitoring Families Forward’s six (6) very low income rental housing units. As of June 30, 2023, all 6 very low income units were leased. The following table summarizes activity by income category for Rental Housing activity: DocuSign Envelope ID: 9D49EAC2-FC45-48BC-B237-794566F2E640 RENTAL HOUSING Income Level Rehab Senior Family Very Low Income 0 69 88 Low Income 0 79 67 Moderate Income 3 56 92 TOTAL 3 204 247 5. At-Risk Affordable Units – During the 2021-2029 Housing Element planning cycle, three (3) projects have been identified as at risk of expiring: Chatham Village (12/31/2027), Westchester Park (10/1/2029), and Flanders Pointe (12/31/2029). The Housing Authority will continue to monitor these units. Tustin Gardens has a Section 8 contract for ninety-nine (99) units that is extended on an annual basis. The contract was due to expire on July 31, 2022; however, the contract has been extended for a new 20-year period with an expiration date of July 31, 2041. Homeless Services The Housing Authority is responsible for overseeing the City’s efforts to serve the homeless and those efforts are detailed in the following section: 1. Tustin Veterans Outpost – In 2012, the Housing Authority assumed the management of two (2) City-owned four-plexes. On December 16, 2014, the City Council approved the conveyance of the 2 four-plexes to the Orange County Rescue Mission (OCRM) for the purpose of providing services to homeless veterans. In June of 2016, OCRM completed the rehabilitation of the units and, on July 26, 2016, the first twenty-one (21) of twenty-six (26) homeless veterans moved in to their new home at the Tustin Veterans Outpost. As part of the annual monitoring, the Housing Authority requests an annual report from OCRM. The following is a summary of the FY 2022-2023 activity occurring for the 2 four-plexes conveyed by the City: DocuSign Envelope ID: 9D49EAC2-FC45-48BC-B237-794566F2E640 VETERANS FAMILY MEMBERS Men Women Spouses Children Total Disabled Disabled Veterans currently being served as of June 30, 2023 10 9 0 1 0 0 2 Veterans Served in FY 2022-2023 21 20 2 1 0 0 4 EMPLOYMENT Employed before entering the program 7 Obtained employment during the program 10 Received a promotion or pay raise while in program 12 EDUCATION Obtained a trade school certificate during the program 5 Children attended school during the program 6 HOUSING Transitioned into permanent market rate housing 5 Transitioned into permanent subsidized or affordable housing 0 Transitioned into stable housing 5 Transitioned into a higher level of care 0 Transitioned into a lower level of care 1 SERVICES Bed nights provided 5,070 Meals provided 15,210 Individual counseling sessions provided 411 Group counseling sessions provided 260 Mental health counseling sessions provided 78 Veterans enrolled in healthcare (VA benefits/Medi-Cal) 20 Legal consultation sessions provided 4 Community resource referrals provided 4 DocuSign Envelope ID: 9D49EAC2-FC45-48BC-B237-794566F2E640 Due in part to the City Council’s 2014 conveyance of the initial two four-plexes that seeded the Tustin Veterans Outpost, OCRM purchased three neighboring four-plex units in September 2019. The purchase expanded the Tustin Veterans Outpost by an additional forty-three (43) beds, bringing the total to sixty-nine (69) beds. The new units went into service in April 2021 and were first focused on veterans experiencing homelessness, however, with the expanded capacity, OCRM was able to help veterans and their families who are working and going to college. The following is a summary of the activity occurring for all veterans served at the Veterans Outpost in FY 2022 - 2023: VETERANS FAMILY MEMBERS Men Women Spouses Children Total Disabled Disabled Veterans currently being served as of June 30, 2023 20 16 2 4 2 2 7 Veterans Served in FY 2022-2023 47 36 7 11 5 7 27 EMPLOYMENT Employed before entering the program 24 Obtained employment during the program 13 Received a promotion or pay raise while in program 15 EDUCATION Obtained a trade school certificate during the program 7 Children attended school during the program 17 HOUSING Transitioned into permanent market rate housing 8 Transitioned into permanent subsidized or affordable housing 0 Transitioned into stable housing 18 Transitioned into a higher level of care 0 Transitioned into a lower level of care 1 SERVICES Bed nights provided 10,165 Meals provided 30,495 Individual counseling sessions provided 956 Group counseling sessions provided 260 Mental health counseling sessions provided 78 Veterans enrolled in healthcare (VA benefits/Medi-Cal) 46 Legal consultation sessions provided 10 Community resource referrals provided 9 DocuSign Envelope ID: 9D49EAC2-FC45-48BC-B237-794566F2E640 2. House of Ruth – On November 6, 2018, the City and the Housing Authority entered into an Exclusive Negotiation Agreement with Family Promise of Orange County to build the “House of Ruth”, a seven-unit transitional housing apartment development for homeless families. On February 18, 2020, the City Council approved a Disposition and Development Agreement with Family Promise. In May 2022, the City conveyed the property to Family Promise. Family Promise’s partner, HomeAid of Orange County, is overseeing the construction and Brookfield Residential is the captain builder. Construction has commenced with an anticipated completion in the fall of 2023. 3. Homeless Assistance Agreement – In October 1996, the City, Local Redevelopment Authority for MCAS Tustin (“LRA”), entered into a Homeless Assistance Agreement (“Agreement"), with the Orange County Rescue Mission, The Salvation Army, Human Options, Irvine Temporary Housing (now known as “Families Forward”), and Orange Coast Interfaith Shelter (now known as “OC Gateway to Housing”), to provide homeless transitional housing and services. In 2012, the Housing Authority assumed oversight of the Agreement. In June of 2018, a Second Amendment to the Agreement allowed Families Forward to convert fourteen (14) Savannah Neighborhood units in the City of Irvine from Transitional Housing to Permanent Affordable Housing for low income households who are homeless or at risk of homelessness. On July 1, 2021, OC Gateway merged with Families Forward and OC Gateway transferred their six (6) units to Families Forward. On August 17, 2021, the City Council and LRA approved the Third Amendment to the Agreement, allowing Families Forward to convert the use of the units from transitional housing to permanent affordable rental housing for very low income families who are homeless or at risk of homelessness. 4. Tustin Temporary Emergency Shelter – On January 15, 2019, the Housing Authority entered into an agreement with Temporary Shelter Inc., to operate the Tustin Temporary Emergency Shelter (“TTES”), a low-barrier, fifty-seven (57) bed shelter serving homeless with ties to Tustin. TTES opened on March 18, 2019. In April of 2020, FEMA conveyed five (5) trailers to the City to house guests who were COVID- positive. The 5 trailers increased the shelter capacity to seventy-seven (77) beds. As of June 30, 2023, there were fifty-five (55) guests. During FY 2022-2023, TTES sheltered two hundred twenty-one (221) guests and, of the two hundred nine (209) exits, eighty-six (86) guests transitioned positively into more stable housing. The following is a summary of the activity occurring in FY 2022 - 2023: DocuSign Envelope ID: 9D49EAC2-FC45-48BC-B237-794566F2E640 221 Guests Served (21 families)  Men 80 (36%) Women 86 (39%) Children 55 (25%) Age of Guests Being Served, Quantity and Percentage 0-17 54 (24%) 18-24 10 (5%) 25-39 50 (23%) 40-59 66 (30%) 60+ 41 (19%) Education Status of Adult Guests No Diploma 25 (15%) High School Grad/GED 33 (20%) Some College 64 (39%) Certificate 16 (10%) Associate Degree 10 (6%) Bachelor’s degree 13 (8%) Master’s Degree/Doctorate 2 (1%) Employment Status of Adult Guests Full-Time 31 (19%) Part-Time 25 (45%) Unemployed 75 (45%) Retired/Disabled 29 (17%) Length of Homelessness Before Entering Shelter One Month 43% 2-11 Months 26% 12 Months or More 28% Substance Abuse and Mental Health Status of Adult Guests Both Substance Abuse & Mental Health 31% Mental Health Only 25% Substance Abuse Only 14% Neither 30% As Reported By Adult Guests Physical Disability 24% Domestic Violence Survivor 34% Development Disability 15% Veteran 2% Reason For Leaving Positively Transitioned 86 Self-Exited 76 Dismissed 47 Returned to TTES after Leaving Did not Return 197 Returned 12 Services Provided Bed Nights 20,371 Meals 61,113 Clothing 983 Hygiene Products 2,093 Diapers/Wipes 1,503 Mental Health Services 67 Housing Consultations 216 Vocational Consultations 410 Legal Consultations 62 On-Site Medical Services 168 Rides (Lyft, Bus Pass, Bike) 2,714 DocuSign Envelope ID: 9D49EAC2-FC45-48BC-B237-794566F2E640 Policy Activities The Housing Authority’s efforts to increase, improve, and preserve the community’s supply of low- and moderate-income housing through local policies are detailed in the following section: 1. Voluntary Workforce Housing Incentive Program – In September 2018, the City Council adopted the Voluntary Workforce Housing Incentive Program, an inclusionary housing and in-lieu fees policy. The Ordinance and In-Lieu Fee are applicable only if a developer proposes to “up zone” property using the “Residential Allocation Reservation” process to add residential units on property not currently zoned for residential uses within the Downtown Commercial Core Specific Plan and the Red Hill Specific Plan areas. Through June 30, 2023, $1,979,632.17 in In-Lieu fees have been collected. DocuSign Envelope ID: 9D49EAC2-FC45-48BC-B237-794566F2E640